NRDC Says New York Energy Plan Could Raise Costs, Extend Fossil Fuel Reliance

New York’s newly adopted energy plan risks locking residents into higher energy bills and prolonged fossil fuel dependence at a time of rising costs and worsening climate impacts, according to the Natural Resources Defense Council.

The environmental group says the plan fails to prioritize the most affordable and proven solutions — energy efficiency, renewable power and electrification — and instead leaves the door open to new fossil fuel investments that could drive volatile prices for decades.

“At a time when New Yorkers are facing higher bills and growing reliability and health risks, this plan fails to lean into the most of solutions available like energy efficiency, renewable energy and clean technologies that enable electrification of end uses,” said Chris Casey, utility regulatory director for New York at NRDC.

“Most concerning is that the plan opens the door to increased fossil dependence and other high-cost, speculative approaches,” he said. “That risks locking New Yorkers into higher and more volatile energy costs potentially for decades to come.”

State officials have defended the plan as an “all of the above” energy strategy that includes continued reliance on natural gas to ensure reliability. Casey said that framing often serves as a rationale for long-term fossil fuel infrastructure that consumers ultimately pay for.

“In reality, what we see is that ‘all of the above’ is often just a door for opening continued fossil dependence,” he said. “Those investments have to be paid off over many decades, often longer than they’ll actually be used. It sets us up for stranded costs and higher rates.”

Casey also disputed claims that additional fossil fuel infrastructure is needed to keep the lights on. “New York already has one of the most reliable systems in the entire country,” he said. “A lot of this reliability talk is flag-waving to justify certain investments.”

While energy bills are only one part of broader affordability pressures, Casey said the plan could worsen long-term costs by steering the state away from the cheapest energy pathway.

“Study after study shows the lowest-cost, highest-value system is one that leans into renewable energy, electrification, energy efficiency and flexible demand,” he said. “The more we delay that transition, the more we lock ourselves into a higher-cost, more unstable future.”

Beyond cost, Casey warned that continued fossil fuel use will harm public health.

“It means dirtier air and continued climate change,” he said. “There are increased hospitalizations and deaths because people are breathing dirty air, and we can make a huge difference by electrifying transportation, buildings and power generation.”

NRDC is urging New York to move forward with a cap-and-invest program that would put a price on carbon pollution and return revenue to households through bill credits while funding clean energy projects.

“Cap and invest puts a price on pollution and uses that revenue to lower electricity bills and invest in a cleaner, safer energy system,” Casey said. “It also sends economic signals that align everyday decisions with what delivers the most value to society.”

The debate unfolds as federal policy shifts threaten renewable energy development, including a recent move by the Trump administration to pause offshore wind leases. Casey said New York’s plan misses a chance to protect residents from those rollbacks.

“In many ways it’s capitulating to federal policymakers whose actions are making everything more expensive,” he said, citing trade and tariff policies he said are driving up energy and infrastructure costs.

Although the plan has been adopted, Casey said it leaves wide discretion to regulators and state agencies — and room for public pressure.

“We need people to make clear that they want a healthy and affordable future powered by clean energy,” he said. “That means speaking up to lawmakers, regulators and the Public Service Commission.”

Looking ahead to 2026, Casey said attention should focus on Gov. Kathy Hochul’s response to a court ruling that found the state violated its climate law by failing to implement required regulations, as well as her decision to pause cap-and-invest.

“We should be holding her accountable to put New York on the best path forward,” he sai

Image by jcomp on Freepik